NC H203

Establishes new consumer protections for home service agreements (home warranties), requiring contracts to include a clear list of covered items, detailed descriptions of covered and excluded damages, and prominent disclosure of cancellation rights in bold 10-point type near the signature line

Requires home service agreement companies to provide consumers with accessible contract copies at signing and maintain updated lists of approved vendors, removing those that are unresponsive or routinely decline work

Mandates that repairs for essential systems (heating, air-conditioning, or the only bathroom in a residence) be completed or scheduled within five business days; if not, the company must pay for an out-of-network vendor

Guarantees consumers the right to cancel any service agreement at any time and receive a pro rata refund minus claims paid and an administrative fee capped at 10% of the refund amount

Appropriates $50,000 in recurring funds to the Attorney General's Office for enforcement, with substantive provisions taking effect October 1, 2025, for agreements entered on or after that date